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HomeMy WebLinkAbout4.4c Appraisal Proposal - Patchin Messner Valuation CounselorsPATCHIN MESSNER VALUATION COUNSELORS November 2, 2022 City of Cottage Grove Economic Development Authority c/o Jaime Mann Assistant to the City Administrator 12800 Ravine Parkway South Cottage Grove, MN 55016 RE: Valuation Consulting and Appraisal Services Patchin Messner Valuation Counselors Sunset Pond Executive Offices 13961 West Preserve Boulevard Burnsville, Minnesota 55337 Dear Ms. Mann: This letter is intended to be a memorandum of understanding concerning the engagement of Patchin Messner Valuation Counselors for the purpose of rendering valuation consultation and/or appraisal services. It is understood by both parties that the nature of the assignment is as follows: Property Identification: Retail Strip Mall 7155 801h Street South, Cottage Grove, MN PID 1702721220011 and Manufacturing Solutions Property 7130 East Point Douglas Road, Cottage Grove, MN PID 1702721220017 Purpose and Intended Use of Appraisal: Estimate the current fee simple market value, for potential total acquisition of the above -referenced properties. Requested Data: Building plans and permits, if any, and contact to arrange an inspection of the properties. Services to be Provided: Prepare market value appraisals in compliance with the Uniform Standards of Professional Appraisal Practice (USPAP) and the Minnesota Department of Transportation Right -of -Way Manual. Sunset Pond Executive Offices • 13961 West Preserve Boulevard • Burnsville, MN 55337 Phone: (952) 895-1205 • Fax: (952) 895-1521 Intended Scope of Work: Given the proposed acquisition, it is anticipated that the scope of work would include application of both the sales comparison and income approaches to value. Estimated Cost of Services Rendered: $5,500 for each appraisal report, not to exceed $11,000. In addition, time after delivery of the appraisal report, if necessary, will be invoiced separately at the following professional hourly rates: Pre -Trial Preparation Hearings/ /Meetin ss Testimony Jason Messner $250.00/Hr $375.00/Hr Christine Mackaman $200.00/Hr $300.00/Hr Andrew Totzke $175.00/Hr $275.00/Hr Associate Appraisers $80.00 to N/A $100.00/H r Delivery Date: We will furnish an electronic PDF and two bound copies of each appraisal no later than June 1, 2023; contingent on return of this authorization to proceed and requested data. We can only complete the appraisal by this date if we receive the requested data in a timely manner. Terms: Monthly invoices starting in June of 2022 and amount due within 30 days following date of invoice, with 1-1/2% per month interest charges added to accounts not paid by that time. Retainer Fee - to be paid in advance: None If you have any questions or comments after reading this letter of engagement, please feel free to contact me at your convenience. Respectfully submitted, PATCHIN MESSNER VALUATION COUNSELORS Jason L. Messner, MAI, CRE PATCHIN MESSNER I VALUATION COUNSELORS Authorization to Proceed Client Name: Individual Responsible: Signature: Date Accepted: PATCHIN MESSNER I VALUATION COUNSELORS